“We do not think the world has magically decoupled all of a sudden. Emerging markets are still very dependent on developed market growth and vice versa. We live in a global economy. The idea that developed markets are having a recovery that we can all enjoy, while being fearful of a slowdown in emerging markets does not make logical sense.”

They have dialed back on developed market positions and have chosen to take more of a risk in emerging markets. For broad emerging market exposure, Ventre says he uses the uses the Dimensional Emerging Markets Targeted Value Fund along with various regional funds tailor-made on an institutional basis for his team.

He also commented that the Ukrainian crisis is a buying opportunity, both in Russian and in wider Eastern European assets:

“I think we are past the worst of it. We are analysing Russia at the moment, potentially looking to buy into weakness we have seen. The two real risks in Russia are weak demographics and political risk, in other words whether you trust Putin or not. In our view, both those risk are truly priced in.”

Martin Gray, the manager of the £771 million CF Miton Special Situations Portfolio, a global balanced fund of funds, is cautiously optimistic about is Japan, which makes up 10.9% of the fund. He commented:

“I think the outlook for corporate profits in Japan look better than in the US. There are negatives around but I do not think the Japanese economy is in such a bad position.”

However, he also added:

“There are some concerns, for example Abe’s nationalistic approach in the East China Sea and how that pans out. He does not necessarily want to take on China, but he is not going to step back, that is for sure.”